Impact Stories

Community Investment Tax Credit

A win/win for donors and the community.

The Community Investment Tax Credit offers a 50% state tax credit and may provide an additional federal tax benefit for a donation of $1000 or more. Donations can be made by individuals, small businesses, large corporations and nonprofit institutions, and the investment makes a real impact in the economic development of the communities that need help most.

Your home should one of the main parts of your life you don’t have to worry about, even after the unexpected. Vulnerable families who aren’t in strong financial situations don’t always have that luxury. They might have a roof over their heads, but might not be sure for how long.

To fight for those who experience financial uncertainty, the CITC provides critical resources to Community Development Corporations (CDCs) across the state, each with a collective mission: ensuring families stay in their homes and their kids stay in the same school long term.

The Power of the CITC

Since the program’s inception in 2014, United Way has raised almost $6 million from donors to support CDCs across the state through the Community Investment Tax Credit.

In just the past two years, these CDCs have:

Built over 600 new affordable housing units

Prevented more than 1,300 foreclosures

Provided more than 11,600 individuals with financial coaching and financial education to help them build savings, reduce debt and improve credit scores

Beyond its community impact, one of the CITC’s greatest advantages is the tax benefit donors receive: a 50% state tax credit, and it may also provide a federal tax benefit for a donation of $1000 or more.

For example, donors who give $10,000 will receive a $5,000 state tax credit and could potentially receive a federal tax deduction of $1,750, leaving the final out of pocket donation at $3,250. Community Development Corporations across the Commonwealth see the benefit of the full donation amount. There is a minimum donation of $1,000 for a $500 state tax credit.

These donations and tax benefits will support only CDCs that are based in Massachusetts, have been carefully selected for participation in this program, and are creating programs and economic development that benefit Massachusetts residents.

How You Can Help

Donations are one of the best ways to support the CITC. You can download the donation form here or click below to give online:

We invite United Way donors to support high impact community development through this advantageous tax credit program. For more information, read and download the CITC brochure or contact Susan Dickason at 617-624-8243 or sdickason@unitedwaymassbay.org.